At the 33rd Annual General Meeting (AGM) of Zenith Bank Plc, which took place on Wednesday, May 8, 2024, at the Civic Center, Victoria Island, Lagos, the shareholders approved the proposed final dividend payment of NGN3.50 per share. This means that the total dividend for the 2023 financial year, valued at NGN125.59 billion, is NGN4.00 per share, the highest dividend payout of any bank.
Dr. Jim Ovia, CFR, Founder and Chairman of Zenith Bank Plc, commended the shareholders in his opening remarks at the Annual General Meeting for their unwavering support and devotion to the Zenith brand, which has been crucial to the bank’s consistently exceptional performance.
Dr. Ebenezer Onyeagwu, the Group Managing Director and Chief Executive Officer, expressed gratitude to Jim Ovia, CFR, the Founder and Chairman, for his mentorship, which has been crucial to his success during his last five years as CEO. He also commended Ovia for serving as the cornerstone for the bank’s ongoing exceptional performance.
In his words, “As I prepare to pass the baton to Dame (Dr) Adaora Umeoji, OON, I am confident in the bank’s trajectory under her leadership. I would like to express my profound gratitude to our Founder and Chairman, Dr Jim Ovia, CFR, and to the board, shareholders, customers, and staff for their steadfast support throughout my tenure. I earnestly request that you extend the same level of support to my successor. It has been a remarkable journey, and I am immensely proud of what we have accomplished together. As I commence the mandatory regulatory cooling-off period, I am filled with optimism for Zenith Bank’s future, assured that we are on the path to even greater success.”
In her remarks regarding the dividend payout, Mrs. Bisi Bakare, National Coordinator of the Pragmatic Shareholders Association of Nigeria, expressed her happiness with the bank’s outstanding performance, which was demonstrated by the multiple awards it won in the fiscal year 2023.
She remarked, “We shareholders are very pleased today to receive a final dividend of N3.50 kobo from Zenith Bank. Following an interim dividend of 50 kobo paid last December, the total dividend for the 2023 Annual General Meeting amounts to N4.00— the highest in the banking sector to date. We truly appreciate this and are optimistic that the transition to a Holding Company will bring even greater returns. Zenith Bank’s numerous accolades this year clearly position it as the leading bank in the country. We anticipate that the 2024 AGM, marking the first year as a Holding Company, will be even more promising for Zenith.”
At the AGM, Dr. Faruk Umar, President of the Association of the Rights of Nigerian Shareholders (AARNS), expressed his gratitude to the Chairman for facilitating a seamless succession plan. He stated, “The bank has performed exceptionally well, particularly in terms of succession planning. It’s encouraging to see the new Managing Director promoted from within, reinforcing our belief in the bank’s leadership development. This internal promotion strategy motivates our staff, giving them confidence that they can aspire to the highest levels within the bank.”
The chairman and management of Zenith Bank have received praise from Chief Timothy Adesiyan, President of the Shareholders Solidarity Association of Nigeria, for their continuous provision of value to shareholders.
He noted, “The bank’s rapid growth can be attributed to the diligent oversight by our Founder, who is also a core investor and actively monitors all operations. This growth is further supported by our adherence to strict corporate governance principles. The bank’s performance metrics are clearly delineated and managed by dedicated committees, ensuring accountability and responsiveness. As a stakeholder, I am very pleased with their performance and attentive response to any concerns raised.”
Despite difficult macroeconomic circumstances and economic headwinds, Zenith Bank Group managed to boost its gross earnings by 125% in just three years, from NGN945.6 billion to NGN2.132 trillion in 2023. The growth in interest income was 112% YoY, and the growth in non-interest income was 141% YoY.
As a result of the bank’s market leadership and consumers’ trust, customer deposits increased by 69%. YoY, operating expenses increased by 32%. The revaluation of foreign currency deposits and an increase in total deposits were the main causes of the 66% increase in total assets.
After reorganizing into a holding company structure, Zenith Bank Group intends to broaden its scope in 2024 by introducing new verticals to its operations and pursuing growth in all targeted markets, both locally and internationally.
Zenith Bank’s track record of excellent performance has continued to earn the brand numerous awards, including being recognised as Best Bank in Nigeria, for the fourth time in five years, from 2020 to 2022 and in 2024, in the Global Finance World’s Best Banks Awards; the Best Bank for Digital Solutions in Nigeria in the Euromoney Awards 2023, being listed in the World Finance Top 100 Global Companies in 2023; being recognised as the Number One Bank in Nigeria by Tier-1 Capital, for the 14th consecutive year, in the 2023 Top 1000 World Banks Ranking published by The Banker Magazine; Best Commercial Bank, Nigeria, for three consecutive years from 2021 to 2023, in the World Finance Banking Awards; Best Corporate Governance Bank, Nigeria in the World Finance Corporate Governance Awards 2022 and 2023; Bank of the Year (Nigeria) in The Banker’s Bank of the Year Awards 2020 and 2022; Best in Corporate Governance’ Financial Services’ Africa, for four successive years from 2020 to 2023, by the Ethical Boardroom; Most Sustainable Bank, Nigeria in the International Banker 2023 Banking Awards; Best Commercial Bank, Nigeria and Best Innovation in Retail Banking, Nigeria in the International Banker 2022 Banking Awards.
Also, the bank emerged as the Most Valuable Banking Brand in Nigeria in the Banker Magazine Top 500 Banking Brands 2020 and 2021; Bank of the Year 2023 and Retail Bank of the Year for three consecutive years from 2020 to 2022, at the BusinessDay Banks and Other Financial Institutions (BAFI) Awards. Similarly, Zenith Bank was named Bank of the Decade (People’s Choice) at the ThisDay Awards 2020, Bank of the Year 2021 by Champion Newspaper, Bank of the Year 2022 by New Telegraph Newspaper, and Most Responsible Organisation in Africa 2021 by SERAS.
